STAND. COM. REP. NO. 1080

Honolulu, Hawaii

RE: S.B. No. 1252

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1252, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO RENTALS FOR PUBLIC LAND LEASES,"

begs leave to report as follows:

The purpose and intent of this measure is to temporarily authorize the Board of Land and Natural Resources to approve rental reductions or waivers of up to twenty years of lease rental for public land leases that require substantial demolition or infrastructure costs in order for lessees to utilize the premises.

Your Committee received written comments in support of this measure from the Department of Land and Natural Resources.

Your Committee finds that there are unimproved public lands in the State's inventory that require millions of dollars in infrastructure investments, including drainage, sewer, water, electricity, and other utilities. Your Committee finds that, by incentivizing lessees through rental reductions or waivers, the State can defer the costs of these improvements while supporting projects that benefit the State as a whole.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1252, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair